Chinese Local Tech Giants Show their Interest in NFTs Despite Regulatory Pressure

As you might already know that China has issued a very severe crackdown against the idea of decentralization and has pushed all the miners from the region and halted massive mining operations as well. Not only this, but the crypto exchanges working within the country have been issued a warning not to entertain the local clients but to deal and keep their services to the international crowd. It was believed that after some time had passed, this whole thing would just die down, and China would eventually come around, but that didn’t become the case.

Non-fungible tokens or NFTs are the digital elements that are hosted on a blockchain and are transferable just as crypto, but they don’t have a monetary value, and neither could be chipped in to buy stuff or convert into fiat currency. These NFTs have sold themselves for millions of dollars in the past and continue to be an evolving aspect of the crypto industry. It was believed that China wouldn’t impose or prohibit NFTs from circulation within the region at least, but it has done that too.

Despite China banning non-fungible tokens, the local internet giants keep entering the NFT space ignoring the orders of the state. China definitely has its problems with the crypto industry and, therefore, the non-fungible tokens but doesn’t seem to mind if digital assets and collectibles are being sold within the country. This means that China wants to develop its own cryptocurrency, centralize it and then legalize it, but in doing so, the idea of decentralization is lost. These non-fungible tokens are not allowed within the country, but digital assets are still permitted.

Despite this, internet giants and business enterprises such as McDonald’s continue to become a part of the NFT space. McDonald’s has recently issued 188 NFTs that were presented to the staff members and customers on the 31st anniversary of the conglomerate in China. In September, China banned any and all crypto operations within the country, including mining, trading, or withholding of cryptocurrency as well. All of it is permanently illegal within the country, and who knows when this whole storm and this consistent bad news from China would settle down.